Many of us invest so that we can earn inflation beating returns, fulfill our financial goals and be financially independent. Best Financial Adviser, Kuber Mindz warns that despite our best intentions, if we commit certain mistakes, our investments are bound to be headed for disaster and failure. Constructing is difficult, while destroying is easy. Protect your investments.
1. Having too many stocks/funds
Never make the mistake of keeping too many active schemes in too many portfolios. It is
bound to break down your investments and lose out on making more money. Too much is
Wanting more has never given happiness or satisfaction. It brings ruin and disappointment.
After a certain limit, you should stop wanting more.
“Let me buy more stocks so that I can lessen my risks (even if the extra stocks are bad)” “Let me sell (while you have a good opportunity if you don’t sell)” While investing, such thoughts have to be abandoned as they carry fear.
4. Hunter Portfolio
Some investors run with only one agenda in their mind- chasing returns. This is bound to
bring doom. Avoid it at all costs. You are here to make returns, not beat the market. Finish
your job with humility and leave.
5. Create a portfolio just for the sake of it
People often advise you to do many things and some will suggest having a portfolio or some
particular fund/stock. Blindly following the words is like following the crowd with no idea
where you are going. Invest only when you know why you are investing, where you are
investing, what you will get from it and whom you must trust. Plan well and maintain a goal.
Few questions to ask yourself about your portfolio:-
1. Purpose of my investments
2. Selection criteria for the investments
3. Have I diversified enough (neither too less nor too much)
4. How often do I review my portfolio and how often should I
When someone says they’re investing, they are not picking up fancy investment options.
They are selecting options (hopefully) based on their financial goals and risk appetite. You
have to know your risk appetite and financial goals in order to invest.
For more information visit www.moneymindz.com or give a missed call to 022-62116588.